Review Underway for Compensation Cases Decided by Previous Gov’t

The Finance Ministry is currently scrutinising the decisions made by the Settlement Committee established by the previous government, which provided compensation in the form of money and property to various parties.

During the final days of President Ibrahim Mohamed Solih’s administration, the Settlement Committee authorised the withdrawal of over MVR 1 billion from the state coffers. 

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Attorney General Ahmed Usham of the current government has asserted that this action was taken without the necessary consultation with the Attorney General’s Office. In response, President Dr. Mohamed Muizzu dissolved the committee based on the recommendations of the current Attorney General.

The Finance Ministry has confirmed that, with the guidance of the Attorney General, it is currently reviewing the decisions made by the Settlement Committee. However, specific details regarding the cases under review have not been disclosed.

Upon its dissolution, the Settlement Committee had approved compensation of MVR 225 million for various parties. Additionally, the committee had allocated state-owned assets, islands, and lagoons worth MVR 1 billion to different entities.

The President’s Office has disclosed that the current Attorney General has recommended adherence to a procedure established since November of the previous year for resolving disputes arising from agreements between the government and private parties. This procedure, lacking a legal framework and authority, had been followed inappropriately, according to the advice received. 

The previous government’s decision to settle five cases out of court during ongoing judicial proceedings has come under scrutiny.

These cases were reportedly resolved without consulting the Attorney General’s Office, disregarding the points raised by the Attorney General during the trial and against the Auditor General’s opinion on the appropriate compensation in these cases, as stated by the President’s Office.